Update on Infill and Extensional Exploration at Old Pirate
Perth, June 25, 2014 AEST (ABN Newswire) - ABM Resources NL (
ASX:ABU) ("ABM" or "the Company") is pleased to provide an update on grade control and infill drilling and extensional exploration work at the Old Pirate High-Grade Gold Project located at the Twin Bonanza Project in the Northern Territory of Australia.
Infill / Grade Control Drilling
- >10,000 metres of drilling completed to date, with assay results for approximately 30% received (Western Limb and Central Zones only). Drilling is ongoing with assays pending for other zones at Old Pirate.
- Average mineralised interval is 19.9 gram-metres (grade*interval width) (0.5g/t cut-off).
- Western Limb Old Pirate drill results are generally in line with previous work and include intervals of:
7 metres averaging 17.86g/t gold including:
- 3 metres averaging 40.92g/t gold with a peak value of 63.2g/t gold.
8 metres averaging 9.00g/t gold including:
- 2 metres averaging 35.25g/t gold with a peak value of 48.8g/t gold.
4 metres averaging 17.02g/t gold with a peak value of 38.6g/t gold.
- Central Zone Old Pirate results are generally in line with previous work including higher grade intervals of:
9 metres averaging 16.71g/t gold including:
- 4 metres averaging 37.13g/t gold with a peak value of 76.6g/t gold.
16 metres averaging 7.27g/t gold including:
- 10 metres averaging 10.55g/t gold with a peak value of 47.3g/t gold.
Intervals reported at a 0.5g/t cut-off with higher grade intervals reported at 1.0g/t cut-off. See below for further details. All assays are 1m composites.
Extensional exploration work - surface trenching
- 44.9g/t gold trench sample from a previously unidentified narrow vein south west of the Bermuda Zone (named the "Dominica" vein).
- 9.27g/t gold, 6.89g/t gold and 4.8g/t gold in trenching ~100 metres north of Central zone.
- 8.52g/t gold over a 3.65 metre wide zone in trench samples from Bermuda South.
- 7.31g/t gold and 3.06g/t gold in closely spaced trench assays north of Old Glory.
- Assays up to 4.8g/t gold north of the Western Limb including visible gold sighted 300 metres north and along strike.
Infill / Grade Control Drilling
ABM is currently conducting a reverse circulation drilling program of up to 30,000 metres at Old Pirate. The infill / grade control drilling component is focusing on the top 50 metres of the system with a view to developing the mining inventory for the open pit and enabling final pit design. To date over 10,000 metres have been completed and the Company has received assay results for approximately 30% of this drilling.
The Company has largely completed the first phase (25m spaced) with the rig now being moved to waste dump sterilisation and environmental work whilst the remaining assays are received. Dependent on assay results ABM will determine which, if any, zones require further infill drilling (to 12.5 metre spaced drill lines). Several extensional zones will also be tested.
Significant intercepts are shown in Appendix 1 and in Figure 1 and 2 in link below.
Extensional Exploration Work
Concurrently with the drilling program, the Company also conducted trenching to expose new quartz veins and map geology in areas of interest. To date approximately 2,000 metres of trenching have been completed. Results are shown in Figures 2 and 4.
Central Northern Extensions
Trenching approximately 100 metres north of the Central Old Pirate zone revealed multiple quartz veins including assay results up to 9.27g/t gold over 0.26 metres and 6.49g/t gold over 0.39 metres. This work will be followed up with extensional drilling (Figure 2).
Dominica Vein
A new vein was uncovered approximately 120 metres southwest of the Bermuda Zone with an assay result of 44.9g/t gold from a 0.18 metre wide quartz vein. This vein has been named the "Dominica" vein. Soil clearing above this vein revealed a strike length of approximately 30 metres with longitudinal sampling from the vein completed and pending results.
Bermuda Zone
Cross-trenching through the previously identified Bermuda and Bermuda South zones returned assays up to 8.52g/t gold and 4.26g/t gold. Trenching revealed narrow quartz veins and potential mineralised shear zones hosted within a diorite porphyry.
Old Glory North
Extensional assay results from Old Glory North include samples up to 7.31g/t gold over 0.67 metres and 3.06g/t gold over 0.85 metres.
Western Limb far-north
Several trenches have been excavated through areas of shallow cover in an attempt to locate extensions to the Western Limb. Results include assays up to 4.8g/t gold over 0.29 metres width located 120m north of the Western Limb, and a low grade assay (1.8g/t gold) but with visible gold in a quartz vein sample 300 metres north of the Western Limb.
About Old Pirate
The Old Pirate high-grade gold project consists of a series of gold-bearing quartz veins with an overall strikelength of ~1.8 kilometres. Veins range from a few centimetres to 6 metres in width with individual veins varying in grade and width along strike. In 2013 ABM completed trial mining from 13 test pits on the Old Pirate trend, processed 8,122 tonnes of material at an average head grade of 15.4g/t gold and recovered 86% of gold using gravity only methods. This trial mining confirmed the potential for the development of a highgrade open pit. Gold is characterised as both, fine and coarse, and has a high statistical nugget effect whereby drilling alone cannot generally provide statistical information required to define a long term and detailed mine plan. As a result ABM applies a risk managed staged approach to development at Old Pirate whereby capital expenditure is deployed sequentially and each stage of development informs the next stage. Following the successful completion of Stage 1 trial mining in 2013, ABM is now undertaking design work for the Stage 2 open pit phase. Concurrently ABM is working with the relevant authorities for final authorisation to mine as soon as possible.
To view all figures and tables, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ABU-681852.pdf
About ABM Resources NL
ABM Resources (ASX:ABU) is developing several gold discoveries in the Central Desert region of the Northern Territory of Australia. The Company has a multi-tiered approach to exploration and development with a combination of high-grade production scenarios such as the Old Pirate High-Grade Gold Project, large scale discoveries such as Buccaneer, and regional exploration discoveries such as the Hyperion Gold Project. In addition, ABM is committed to regional exploration programs throughout its extensive holdings including the alliance with Independence Group NL at the regional Lake Mackay Project.
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